Hi Tony,
please visit the site address below to see all the requirements and steps to be an Approved 203(k) Consultant . Each applicant who meets the 203(k) program requirements will be issued a participation letter. This letter will contain the consultant's name, business address and a consultant identification number - you will need this before working on any 203(k) loan property. You will also be placed on the HUD's 203(k) consultant roster for all to verify before they allow you to work on the property.

Hope it helps and best to you! Visit - http://www.hud.gov/offices/hsg/sfh/203k/203khow.cfm... more

Talk to your lender(s) right away & explain the situation and see if they will negotiate with you. You can also contact HOPE for Homeowners: here is brief info
Hope for Homeowners, a program created by Congress to assist homeowners at risk of loan default and foreclosure that will allow some homeowners to refinance into more affordable FHA-insured mortgages, launched Wednesday.
An estimated 400,000 homeowners could avoid foreclosure through participation in this program, which is voluntary for lenders and is scheduled to run through Sept. 30, 2011.
That program is among an assortment of federal, state and industry efforts intended to stem the tide of foreclosures.
Under Hope for Homeowners, lenders will determine a homeowner's eligibility and consider loan modifications to lower the monthly mortgage cost, and can also consider whether to take a loss on the difference between an existing loan and a new loan set at 90 percent of the home's current appraised value.
Existing mortgages must be originated on or before Jan. 1, 2008, and existing mortgage payments as of March 1, 2008, must exceed 31 percent of the borrower's gross monthly income, among other eligibility requirements.... more

Ann
There are a couple of issues here.
You are both on title, so unless one yields to the other (unlikely) then you will need to sell the property and suffer the consequences of a short sale (have your credit trashed). Divorce, death, and illness are the top reasons that homes are sold.

I would take ownership of your future and talk with a trusted financial planner regarding your best course of action.... more